Ziggis Coffee Franchise Reviews Cost LLC Profit

 

Ziggis Coffee franchise is well-known for its excellent franchise chain coffee and espresso drinks. Brandon and Camrin Knudsen started the business in Longmont, Colorado, in 2004, and it has since grown to more than 25 locations across Colorado, Oklahoma, and Arizona.

According to IBISWorld, as of 2021, the U.S. coffee shop industry would earn $46 billion in yearly revenue and employ over 200,000 people.The National Coffee Association estimates that the 62% of Americans who drink coffee every day consume 3.1 cups of the beverage on average each day.The two largest consumer groups are millennials and Gen Xers, who make up 44% and 33%, respectively, of coffee drinkers, according to the Specialty Coffee Association.According to Square, a company that processes payments, the average price of a coffee beverage in the United States in 2021 was $4.96.

How much does a Ziggis franchise cost?

The initial Ziggi’s Coffee franchise cost of $30,000 is included in the projected total investment required to operate a Ziggi’s Coffee business, which ranges from $182,000 to $406,000. The actual cost may differ based on a number of variables, including the location, real estate costs, machinery, inventory, and other charges.

Ziggis Startup and On-going Franchise Costs
Ziggis Coffee Franchise Fee	$40,000
Ziggis Coffee Franchise Cost	$386,000-$1,486,000
Royalty Fee	6%
Advertising Fee	1%
Term of Agreement	Term and conditions
Is franchise term renewable?	Yes,
Renewable Franchise Fees	50% of Initial Franchise fees

How much do Ziggis Coffee franchise owners make?

The income of a Ziggi’s Coffee franchise owner may differ based on a number of variables, including location, sales success, operational expenses, and other considerations.

The average gross sales for Ziggi’s Coffee franchised units in 2020 were $571,763, according to the 2021 Ziggi’s Coffee Franchise Disclosure Document.

What is Ziggi’s Coffee franchise profit?

The average gross sales for Ziggi’s Coffee franchised units in 2020 were $571,763, according to the 2021 Ziggi’s Coffee Franchise Disclosure Document. It is crucial to remember that this figure is an average and that actual profits could vary based on the unique conditions of each franchise.

You can estimate a Ziggis franchise profit margin of 20% and profit of $103,500 and recoup your investment within 7 to 10 years.

Ziggis Coffee Franchise Requirements

The following criteria must be met 

1. Franchise Fee

The $30,000 initial franchise fee pays for initial training, help choosing a location, and ongoing support.

2. Total Cost

Depending on the location, leasehold improvements, and equipment, the projected total investment can range from $182,000 to $406,000.

3. Financial standing

The franchisee must be worth at least $300,000.

4. Liquid Capital

The franchisee needs to have at least $100,000 in liquid capital.

 

What are Ziggi’s Coffee franchise reviews

Positive comments on the franchise Ziggi’s Coffee

• Numerous franchisees value the help and direction given by the corporate staff at Ziggi’s Coffee during the franchise application process, including site selection, on-going training, and support.

• Franchisees frequently give Ziggi’s Coffee outlets high marks for the quality of their goods and their attentiveness to their patrons.

Negative evaluations of the franchise Ziggi’s Coffee

• Concerns about high operational costs, particularly those associated with acquiring supplies and equipment from Ziggi’s Coffee’s preferred vendors, have been voiced by a few franchisees.

• Particularly in more competitive cities, several franchisees have reported having trouble obtaining adequate real estate locations for their Ziggi’s Coffee businesses.

Ziggi’s Coffee Franchise Rankings

• In 2020, Ziggi’s Coffee was ranked #425 in Entrepreneur Magazine’s Franchise 500 list.
• In 2019, Ziggi’s Coffee was ranked #354 in Entrepreneur Magazine’s Franchise 500 list.
• In 2018, Ziggi’s Coffee was ranked #434 in Entrepreneur Magazine’s Franchise 500 list and was also named to the magazine’s Fastest-Growing Franchises list.

 

What is Ziggi’s Coffee?

It is a chain of coffee shops started in Longmont, Colorado, in 2004. Since then, the business has grown to have over 25 sites across Arizona, Colorado, and Oklahoma. They are renowned for serving premium coffee and espresso drinks along with a selection of other beverages and food.

Is Ziggis Coffee A Franchise Opportunity?

Yes, Ziggi’s Coffee offers a franchise opportunity for the business, has created a successful business model and offers its franchisees thorough training and continuous assistance.

Facts That Nobody Told You About Ziggi’s Coffee

Here are some interesting facts that you may not have known

•  The name of the coffee shop comes from Brandon Knudsen’s childhood moniker, “Ziggi.”
• The business employs a special blend of Arabica beans from South and Central America and roasts its own coffee beans.

• Every weekday from 2-4 pm, They run a “Happy Hour” campaign that offers discounted drinks.

• They offer a variety of food products, including breakfast sandwiches, wraps, and baked goods, in addition to coffee and espresso drinks.

Ziggi’s Coffee Franchise Review and Information
Industry Type	Food Franchise Opportunities
Sub Category	Coffee Franchise Opportunities
Year Established	2004
Company Name	Ziggi’s Coffee
Founder/Management Head	Brandon, Camrin Knudsen
Franchising Started	20016
Employees at Company H.O
Franchise Expansion Plan
Number of Units	55
Number of Franchise Units	55 (2022)
Social Media Handles	Facebook
	Twitter
	Instagram
Company Office location	Colorado, United States

Ziggi’s Coffee Training to Franchises

1. Initial Training

A two-week initial training course covering every facet of running a  franchise is provided to franchisees.

2. Onsite Training

They offer onsite training to assist franchisees in opening their business once their location is ready.

3. Continuous Support

They offer its franchisees continuous support, including access to an online resource and training site.

4. Support for Marketing

The Ziggi’s Coffee marketing team offers franchisees on-going assistance to help them market their location and expand their business.

Ziggis Coffee Operations to Franchises

1. Menu

They offer a vast selection of coffee beverages, tea, smoothies, and culinary items that are created to appeal to a wide range of customers.

2. Equipment

They offer franchisees a comprehensive equipment package and a list of authorised equipment vendors.

3. Procurement

It has developed ties with suppliers to offer its franchisees high-quality coffee beans, tea, and other supplies.

4. Technology

To handle inventory, measure sales, and keep track of customer feedback, They offer its franchisees an unique point-of-sale (POS) system.

 

How is Ziggis Coffee Territory Granted to Franchises

1. Territory Analysis

 Ziggi’s Coffee conducts a territory study using a range of data sources and analytical techniques.

2. Territory Definition

They establish the boundaries of each franchise territory based on the findings of the territory research.

3. Territory Protection

They offer franchisees territorial protection once they have been given a territory.

4. Expansion of  territory

If a franchisee is successful in their first territory, they may be able to grow their company by adding more sites in neighbouring territories.

What is the Ziggis Coffee Franchise Term of Agreement and Renewal?

Franchise Agreement

A franchise agreement outlining the terms and conditions of the franchise connection is signed by a franchisee when they join Ziggi’s Coffee. The franchiser receives a long-term commitment from the franchisor thanks to the agreement’s 10-year length.

Renewal Option

The franchisee has the choice to extend their contract for a second 10-year term after the initial 10-year term has ended. Franchise owners now have the chance to keep running their companies under the Ziggi’s Coffee name while using the continued assistance and resources of the franchisor.

Does Ziggis Coffee provide Financial Assistance to Franchises?

Ziggis Coffee does not give franchisees loans or direct finance, although the corporation might be able to help franchisees find financing from outside lenders.

Pros & Cons of owning a Ziggis Coffee Franchise

Pros of Owning a Ziggi’s Franchise

1. Established Brand

Ziggis Coffee has a well-known brand and a committed following, which can aid franchisees in gaining clients and expanding their businesses.

2. Comprehensive Training and Support

To assist franchisees run their businesses successfully, Ziggis Coffee offers them both comprehensive training and on-going support.

3. Multiple Revenue Streams

Ziggis Coffee provides franchisees with a variety of revenue sources, including coffee, food, and retail goods, allowing them to maximise their potential earnings.

4. Market Opportunities

Ziggis Coffee offers franchisees the chance to penetrate and maybe dominate new markets because it is a rising brand.

Cons of Owning a Ziggis Coffee Franchise

1. High Initial Investment

The high initial investment needed to open a Ziggis Coffee franchise could be a deterrent for some prospective franchisees.

2. Ongoing Royalty and Advertising Fees

Franchisees must continue to pay the franchisor recurring royalties and advertising expenses, which may have an effect on their profitability.

3. Limited Flexibility

Because franchisees are required to follow the company’s operational standards and procedures, their freedom to make adjustments or put their own ideas into practice may be constrained.

4. Market Saturation

A franchisee’s chances of success may be hampered by intense competition from other franchises or coffee shops in particular markets.

Franchise Deck Analysis and Overview

With a focus on excellent products, genuine customer service, and community participation, Ziggi’s Coffee takes pride in creating a welcoming environment for its patrons. To ensure optimal freshness and quality, the company purchases its coffee beans from the best farms across the world and roasts them on-site.

Franchise Success and Failure Rate

The below table will highlight the franchise success and failure rate for the last 3 years. This will supplement your decision-making process.

Year	Format	Start	End	Change
2019	Franchise Owned	14	18	+4
Company Owned	7	7	0
2020	Franchise Owned	18	30	+12
Company Owned	7	7	0
2021	Franchise Owned	30	47	+17
Company Owned	7	7	2

Competition Analysis of Franchise
Brand	Cost to Franchise	Franchise Fees	Royalty + Ad fees	Expected Profit	Recoup of Capital	FD Rating
Ziggi’s Coffee Franchise	$386,000-$1,486,000	$40,000	6%	$250,000	6-7 years	4.0/5.0
StarBucks Franchise	$1,100,000	$500,000-$315,000	5%	$88,000	8.5-9 years	4.8/5.0
Port  City java Franchise	$171,000 – $458,000	$35,000	5%	$568,000	6-7 years	3.5/5.0
PJ’s Coffee of New OrleansFranchise	$406,000 to $1,024,000	$20,000	5%	$368,325	7-8 years	3.7/5.0
Xpresso DelightFranchise	$84,750-$115,000	$37,000	–	–	5-7 years	3.5/5.0

The Franchise Deck rating for the Ziggi’s Coffee franchise is 4.0/5.0

 

Conclusion 

Yes, Owning a Ziggis Coffee Franchise is profitable. Ziggi’s Coffee is a chain of coffee shops based on franchises that serves breakfast and lunch items along with premium coffee, tea, smoothies, and other beverages.

Is the Ziggis Coffee franchise worth it ?

Yes but, The franchise’s value can change depending on a number of variables, including its location, the level of competition, and the state of the local economy. In general, franchising can provide advantages including a well-known brand, support from the franchisor, and access to well-established systems and procedures.

Conclusion : Why should you buy this franchise?

Yes, Ziggis Coffee has been named to Entrepreneur’s Franchise 500 as proof of their business model’s success. This ranking is based on an analysis of over 150 data points, including costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability.You can invest less in this franchise opportunity to recoup your investment faster.

Entrepreneurs who want to open a franchise in the coffee, tea, smoothies, and other beverages  franchise opportunities categories can look at 

1. Starbucks Franchise 
2. Biggby Coffee Franchise
3. 7 brew Franchise 
4. Scooters Coffee franchise 
5. Dunkin Donuts Franchise
6. Caribou Coffee Franchise 
7. Tim Hortons Franchise 
8. Black Rifle Coffee Franchise
9. Dutch Bros Franchise 
10. Dunkin Donuts Franchise
11. Pj’s Coffee Franchise
12. Popeyes franchise
13. Philz Coffee Franchise
14. Playa Bowls Franchise
15. Rascal House Franchise
16. Oumi Sushi franchise
17. Flame Broiler
18. White Castle franchise

Frequently Asked Questions (FAQs)

1. Is the Ziggis Coffee Franchise profitable?

Yes, Ziggis Coffee has steadily expanded over the years, with over 25 locations across the United States.This expansion indicates that the franchise has been successful in attracting and retaining franchisees, and that the business model may be profitable for some franchise owners.

2. Can you make money by owning a Ziggis Coffee ?

Yes, you can earn money through a variety of revenue streams, such as coffee and food sales, merchandise sales, and catering services.

3. Is Ziggis Coffee a franchise?

Yes, Ziggis Coffee is a franchise. Individuals who want to own and operate their own Ziggi’s Coffee coffee shops can apply for a franchise with the company.

4. How much is a Ziggis Coffee Franchise?

According to the Franchise Disclosure Document, the initial investment for a single Ziggis Coffee franchise ranges from $224,668 to $470,550.

5. How do  Ziggis Coffee franchise make money?

Ziggis Coffee franchises generate revenue by serving high-quality coffee, tea, smoothies, and other beverages, as well as breakfast and lunch options, at their locations.